The move toward digital lending appears officially unstoppable as FormFree Holdings just received a patent for AccountChek, the world's first automated asset verification system for the lending industry.
The move follows the recent development that government-backed mortgage bond issuer Ginnie Mae is going all digital very soon.
FormFree was named to HousingWire’s 2014 HW TECH100 list of the housing economy’s 100 most innovative technology companies.
In addition to making the list, FormFree won the HW TECH100 “Unique Solution” category for AccountChek, the first completely paperless verification of deposit and asset technology that is used by lenders for demonstrating the ability of borrowers to pay back loans.
According to the company, by using FormFree's (now patented) AccountChek system, lenders and consumers can instantly authorize and share critical borrower information essential for closing loans on any device.
“In the last six months alone, we have witnessed some of the most significant new regulations the financial services industry has ever seen,” said Brent Chandler, CEO of FormFree.
“AccountChek helps lenders meet new federal regulations that require them to use stronger borrower verification processes in the hopes of avoiding another crisis. The patent further validates and protects AccountChek as we approach widespread adoption and industry acceptance,” he added.
In collaboration with leading lenders and government sponsored enterprises such as Fannie Mae and Freddie Mac, AccountChek collects data directly from virtually any financial institution and generates reports in just minutes.
AccountChek claims it helps lenders eliminate fraud, significantly reduces buyback costs, and makes it easy for lenders to comply with new “ability-to-pay” rules.